Cons of Applying to EIDL
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Cons of Applying to EIDL (by LordZen [MA]) Jan 11, 2022 8:55 PM
       Cons of Applying to EIDL (by Robert,OntarioCanada [ON]) Jan 11, 2022 9:26 PM
       Cons of Applying to EIDL (by Ray-N-Pa [PA]) Jan 11, 2022 9:39 PM
       Cons of Applying to EIDL (by ned [AL]) Jan 11, 2022 9:45 PM
       Cons of Applying to EIDL (by Johnny B. [MA]) Jan 11, 2022 10:38 PM
       Cons of Applying to EIDL (by LordZen [MA]) Jan 11, 2022 10:55 PM
       Cons of Applying to EIDL (by Steve [MA]) Jan 12, 2022 6:22 AM
       Cons of Applying to EIDL (by Lynn [MA]) Jan 12, 2022 7:26 AM
       Cons of Applying to EIDL (by Chris [CT]) Jan 12, 2022 10:37 AM
       Cons of Applying to EIDL (by LordZen [MA]) Jan 12, 2022 12:34 PM
       Cons of Applying to EIDL (by LordZen [MA]) Jan 12, 2022 12:35 PM
       Cons of Applying to EIDL (by LordZen [MA]) Jan 12, 2022 12:40 PM
       Cons of Applying to EIDL (by 6x6 [TN]) Jan 12, 2022 12:52 PM
       Cons of Applying to EIDL (by LordZen [MA]) Jan 12, 2022 1:09 PM
       Cons of Applying to EIDL (by Steve [MA]) Jan 12, 2022 5:15 PM
       Cons of Applying to EIDL (by LordZen [MA]) Jan 12, 2022 6:00 PM
       Cons of Applying to EIDL (by Steve [MA]) Jan 12, 2022 7:11 PM
       Cons of Applying to EIDL (by LordZen [MA]) Jan 12, 2022 7:38 PM

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Cons of Applying to EIDL (by LordZen [MA]) Posted on: Jan 11, 2022 8:55 PM
Message:

Hi there fellow LL, hope you are all doing great.

I applied before to the EIDL (Economic Injury Disaster Loan) and won't start making a payment until mid 2022, received the 2 grants, YAY!!.

Now you have the option to apply for more funds, if i can do it, do you advise to move forward?

If not, why not?

I am keeping the receipts of whatever we have paid with these money, i still have some funds available, i am just curious to know, we might need some money for some home improvements, like emergency / fire exit stairs or a 2nd Egress for the 3rd floor, the 3rd floor have electric baseboard heating, so might want to do something better, renovate some bathrooms, among other things.

--98.216.xx.xxx




Cons of Applying to EIDL (by Robert,OntarioCanada [ON]) Posted on: Jan 11, 2022 9:26 PM
Message:

Heating is where there is heat loss so like filling up a bucket with a hole. Adding spray foam insulation about 2 inches or 50 mm. will reduce heat transfer by 80 per cent. Any renovation energy efficient improvements can be part of renovation. If bathroom wall is ripped out where the wall is going to exterior then adding insulation is good option. Many think of adding more heat where insulating less heat is required. Exposed heating and hot water pipes act as a radiator where in a basement or boiler room no additional heat is required. Adding special pipe insulation puts more heat in the building not boiler room. Money spent where have to get the money back then some. --99.236.xxx.xxx




Cons of Applying to EIDL (by Ray-N-Pa [PA]) Posted on: Jan 11, 2022 9:39 PM
Message:

I applied for EIDLs for each of my LLCs as a hedge just in case the media was correct initially in the reporting on how the economy was going to get trashed.

It did indeed got trashed but I have to wonder how much was self induced by the media and government.

When they had you apply initially, they asked if you wanted the advance expedited - and I answered NO. well guess what money they elected to forgive in the end?

I got a sour taste in my mouth when I started to get phone calls asking me AFTER the fact for resolutions from my LLCs to take out these loans. They were asking after giving me the money. At that point, it was becoming clear that I really didn't need the moneys so I ended paying my money back after having it for about four months.

I can't speak to what is going on now in the world of EIDL loans. I still don't understand why they needed authorization after the fact. --24.101.xxx.xxx




Cons of Applying to EIDL (by ned [AL]) Posted on: Jan 11, 2022 9:45 PM
Message:

Took $150k in 2020 in EIDL as hedge against unknown. 3.75% on 30 years. No real downside I know of except all biz assets have a blanket lien on 'em.

That being said, I'm not sure if I'd take it again or not. I've never liked the idea that when you take guvmint cheese...you play by their rules...which they don't mind to change.

So, I'm prepared to pay it back most anytime. --70.92.xx.xx




Cons of Applying to EIDL (by Johnny B. [MA]) Posted on: Jan 11, 2022 10:38 PM
Message:

When you say ‘grants’ does that mean some of it doesn’t have to be paid back? --73.186.xxx.xxx




Cons of Applying to EIDL (by LordZen [MA]) Posted on: Jan 11, 2022 10:55 PM
Message:

Thanks everyone for sharing.

Robert that is very interesting and important , thanks for sharing your knowledge, some things are new to me but I am still learning.

Ray-N-Pa that's very crazy and weird, in total i just got around 25K (without including the 2 grants of 5 and 10k).

Ned i didn't take much, I just have one multi family, I was just thinking if I should go with request more just to have it for when needed it later for renovations like I mentioned.

Johnny B exactly, there were 2 grants, one of 5k and another of 10k, that I don't have to pay it back.

--98.216.xx.xxx




Cons of Applying to EIDL (by Steve [MA]) Posted on: Jan 12, 2022 6:22 AM
Message:

LZ, if they are grants "5k and another of 10k, that I don't have to pay it back", why are you mentioning that you "won't start making a payment until mid 2022"? Is it because you actually got more than $15K?

Are there any restrictions on what these funds can be used for? What is the interest rate & payback period? Also are these fixed terms? --71.174.xx.xxx




Cons of Applying to EIDL (by Lynn [MA]) Posted on: Jan 12, 2022 7:26 AM
Message:

Steve,

He said he got $25k in loans in addition to the $15k in grants. I had applied but they didn't give me the grant and I didn't think the terms of the EIDL loan were anything special, I could have received better rates from my equity line so I passed. Initially, they were offering $10k grants within 3 days and then they revised it to $1k per employee. I got nothing. A year later they offered me a grant if my taxes were filed in a poverty area, well I didn't qualify for that either. --96.237.xx.xxx




Cons of Applying to EIDL (by Chris [CT]) Posted on: Jan 12, 2022 10:37 AM
Message:

I have a $200k SBA loan, no payments until the fall of 2023. Interest rate is 3.75%.

Since inflation is running about 7% its free money, I'm going to use it until next fall then pay it back.

Thanks uncle sam! --24.45.xxx.xxx




Cons of Applying to EIDL (by LordZen [MA]) Posted on: Jan 12, 2022 12:34 PM
Message:

Steve here is some info from the web:

"As long as you can prove your small business has suffered substantial economic injury because of the pandemic or another natural disaster, you may apply for an EIDL. While the SBA states you can borrow up to $2 million, the media has reported that most loans are capped to $150,000.

Once you get approved and receive the funds, you can use them toward payroll, rent, and other working capital expenses. In the event you received the Paycheck Protection Program (PPP) loan, you can’t use the EIDL to pay for the same expenses. You’ll be able to pay back your loan at an interest rate of 3.75% and a loan term that ranges from 15 to 30 years."

--98.216.xx.xxx




Cons of Applying to EIDL (by LordZen [MA]) Posted on: Jan 12, 2022 12:35 PM
Message:

Chris thanks for sharing, if you don't mind, may I know how are you planning to use it ?

Thanks in advance. --98.216.xx.xxx




Cons of Applying to EIDL (by LordZen [MA]) Posted on: Jan 12, 2022 12:40 PM
Message:

Lynn sorry to hear that, the 1st grant took a time to get a responses, but then they email me for the 2nd one and the approval for this one was quicker.

And thanks for answer Steve's question, that is correct, I got 25K loan plus the 15k Grant, I do not include the Grant because I don't have to pay it back but I think I still need to save the receipts for that too.

We have been living here almost 4 years now in April, at the time I was looking for this around Nov 2019 and Feb 2020, we were just 1 year and something, almost 2, so I was not able to get equity neither a HELOC :(.

--98.216.xx.xxx




Cons of Applying to EIDL (by 6x6 [TN]) Posted on: Jan 12, 2022 12:52 PM
Message:

Is there a penalty for early payoff? --73.120.xx.xxx




Cons of Applying to EIDL (by LordZen [MA]) Posted on: Jan 12, 2022 1:09 PM
Message:

6X6 no, there is no penalty for early payoff. --98.216.xx.xxx




Cons of Applying to EIDL (by Steve [MA]) Posted on: Jan 12, 2022 5:15 PM
Message:

LZ, as long as you have the ability to repay it when it becomes due, I'd go for it because as Chris [CT] said it's basically free money. --71.174.xx.xxx




Cons of Applying to EIDL (by LordZen [MA]) Posted on: Jan 12, 2022 6:00 PM
Message:

Steve thanks, you know that i still don't have a lot of knowledge and i always like to hear other thoughts 1st to make sure of my decision.

For the 25k I will have to start paying on 8/2022 (i already started making payments a few month ago) and the monthly payment is 128 a month. --98.216.xx.xxx




Cons of Applying to EIDL (by Steve [MA]) Posted on: Jan 12, 2022 7:11 PM
Message:

LZ, did you ever get your heating issues corrected? If yes, what was done? --71.174.xx.xxx




Cons of Applying to EIDL (by LordZen [MA]) Posted on: Jan 12, 2022 7:38 PM
Message:

Steve Yes, i got it corrected by N.E. Steamworks that i founded on the website HeatingHelp, i don't know if you or someone here provided for me, but it was really helpful.

As to how it was solved, i don't know the correct wording but i think pictures will show you better. They replaced whatever cooper piping that wasn't supposed to be, with black iron pipes, the boilers previously had just one entry piping, they put 2 like in the Boiler Manual shows it should be, my heating system now works great (i need to clean some of the radiators because some of the channels are not heating up and some does, specially with the 2 radiators that had the issues before of bleeding...) and they also installed 2 new radiators that we were missing.

Last winter everything was fine, now at the beginning of this winter, something happened between the Boiler and the Thermostat (Smart Ecobee), it was working fine, suddenly, it was not communicating with Boiler and i had to shut off the Boiler Manually and not thru the Thermostat because it was not taking the OFF command, but that is another long story, right now is solved...

I can send you an email if you want to know more.

Thanks for asking :D --98.216.xx.xxx



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